Social Security

Forecasts say that in 2050, Greeks over 65 years of age will make up about 40% of the population. This demographic requires a complete redesign of the health and social security system.

The Greek state will not just need more resources; a timely reorientation of the services provided is also required, before the stability of the already overburdened system begins to be tested.

Around 100,000 pensioners have declared on a special electronic platform of the Single Social Security Entity (EFKA) that they are working, Deputy Minister of Labour and Social Security Panos Tsakloglou, said in an interview on Saturday.

The General Accounting Office of the Republic of Cyprus announced that a significant sum of 564.2 million euros was cleared by the government from November 2013 to April 2024. This extensive effort aims to address outstanding debts owed to various government departments and agencies.

The presidential decree has been published for the settlement of debts of up to 30,000 euros to the Single Social Security Entity (EFKA).

This means that all citizens who have debts of up to €30,000 will be able to retire, government spokesperson Pavlos Marinakis announced on Monday.

At least 333.30 euros per month will be withheld from the pension of debtors to the Single Social Security Entity (EFKA), as long as they meet all the conditions and the pension decision is issued based on the recent legislation.

The scheduled increase in pensions from July 1 might be adjusted to 10% instead of the initially projected 11%, in line with the State Social Security budget for the current year. This potential alteration stems from the officially reported lower inflation rates compared to earlier forecasted estimates.

The registration of working pensioners on the special electronic platform of the Single Social Security Entity (EFKA) has exceeded all expectations, already reaching 78,000, and is increasing by the day.

Food vouchers, teleworking, insurance plans, company cellphones and cars are some of the benefits that enterprises are giving their employees instead of raises these days.

The reason they give is high social security contributions and taxes, which instead of decreasing, are increasing, gnawing away at employees' real income.

The country's social security system is in for seven difficult years, as up until 2030 the generation of baby boomers will be rushing to retire.

Experts point out that although the "great exodus" began in 2022 and will last until 2030, with about 165,000 to 200,000 people retiring annually, the bulk of retirements will occur from 2025 onward.

The sustainability of the social security system is considered assured until the distant 2070, according to a new study by the National Actuarial Authority submitted to the competent department of the European Commission.